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Apple Option Strangle Update

Apple (AAPL, $91.07, down $6.00) is below $100 and is tanking along with the rest of the market. The Dow is down 454 points to 9,871 and is below 10,000 for the first time in four years. I’ve been mentioning over and over that the market could be headed lowerRead more

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Bailout Signed, Market Retreats

It’s official. After a week of haggling, the House finally approved the $700 billion government bailout of the financial industry on Friday with President Bush quickly putting his John Hancock on the bill. It was almost a foregone conclusion that the bill would get passed and the bulls on WallRead more

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Market Notes – Potash Going Up In Smoke

From $185 to $98 in 10 days. That’s what has or is happening to Potash (POT, $97.91, down $30.13) today. Blame it on whatever you want but these are unprecedented moves. Talk about throwing the baby out with the bathwater. After all the bullish arguments we have heard from Potash,Read more

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Stop Losses and Targets

I received a lot of emails on the JPMorgan Chase (JPM, $49.49, up $0.24) trade yesterday and this morning. First, thanks for writing and keep the emails coming. Many of the questions involved stop losses and targets and where the options I discussed are headed. I’ll go over a fewRead more

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Market Set To Open Lower

Here we go again. The futures are down sharply this morning and it’s looking like the Dow is going to start the session with a triple digit loss. Last night, the the Senate added tax cuts and other deal sweeteners to the $700 billion rescue/bailout/whatever-you want-to-call-it plan and it passedRead more

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Google's Closing Price Changed

Google (GOOG, $322.99, down $58.01) ought to have an interesting day. Check this out. The stock folded like a bad poker hand Tuesday, finishing 15% lower for the day. But wait. In after-hours trading the stock was up $90.56 to $413.55. Talk about the potential for a wipe-out as farRead more

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Market Notes

Historic times indeed. Tuesday’s 485 point climb for the Dow was the third largest ever after dropping 777 points on Monday. The Dow’s close of 10,850 puts the index down 18% YTD. The Nasdaq jumped nearly 100 points to close at 2,082 but its 5% jump still leaves it offRead more

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VIX Surges After Bailout Fails

The Chicago Board Options Exchange Volatility Index (^VIX, 40.93, down 5.79) rose sharply on Monday as the stock market closed substantially lower. The VIX measures “fear” on Wall Street and moves higher as the market moves lower. When Wall Street and traders get scared, they tend to trade more andRead more

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Dow Crashes 777 Points

The market posted is worst ever point decline after Congress rejected the $700 billion bailout plan that looked like a sure thing to everyone on Wall Street. That was the problem. As the day wore on it was apparent that the market was nervous and about 1:30 p.m. all hellRead more

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Citigroup Buys Wachovia

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